According to the latest report by the marketing intelligence firm, International Data Corporation (IDC), Xiaomi has emerged as the new star in the smartphone world. The China-based company is now the third largest smartphone vendor around the world trailing behind Korean Samsung and USA’s Apple.
“Xiaomi was the star performer,” Strategy Analytics Executive Director Neil Mawston said in a statement. This is the first time Xiaomi has jumped into the Top 5 list, thanks to its focus on China and adjacent markets, which resulted in triple-digit year-over-year growth.
“Key to its success was the launch of its Mi4 smartphone in August, which was positioned as a high-end alternative to the status quo. What remains to be seen is how quickly the company can move beyond its home territories to drive volumes higher,” IDC added.
Reports further added, Samsung maintained its numero uno position in the smartphone market, but is the only company among top five to see shipment volume decline year over year. Whereas, Apple took the wraps off its highly anticipated iPhone 6 and iPhone 6 Plus, and in the process posted its largest third-quarter volume ever.
IDC reports, smartphone vendors shipped 327.6 million devices in the third quarter of 2014 resulting in 25.2% growth when compared to 261.7 million units shipped in third quarter of 2013 and 8.7% sequential growth above the 301.3 million units shipped in 2Q14.
“Despite rumors of a slowdown in the market, smartphone shipments continue to see record-setting volumes,” said Ryan Reith, Program Director with IDC’s Worldwide Quarterly Mobile Phone Tracker.
A driving force behind the record smartphone volume was the combined effort of the vendors trailing market leaders Samsung and Apple. “The next three vendors – Xiaomi, Lenovo, and LG Electronics – all posted market-beating growth and with markedly different strategies,” said Ramon Llamas, Research Manager with IDC’s Mobile Phone team. “This shows that there is still room to compete in this market, whether it is in the low end as Lenovo has done, at the high end where Xiaomi competes, or in both as LG Electronics has shown. Beyond the top five, there are a number of other vendors achieving similar results.”
With rapid innovations in mobile technology, the dynamics of the smartphone market is constantly changing. Xiaomi breaking into the top five is another example of open competition available in the smartphone world. Its presence in China might not have been the only driver behind such results, as its entry in India was also a strategic move to boost the same.